Q1 Provide an example of one Saudi Company and analyze the steps that the managers in this company can take to achieve its vision and use core competencies.

Q2 The following data were obtained from the accounting information system of Attawfik Corporation:

                       Units           Total Cost                                       

Month         Produced                                       

January              60       SAR1,533.4                    

February            50               1,300                       

March                80               2,000                       

April                  30                  833.5                    

a.   Use the data for February and March and the two-point method to determine a cost function.

b.   Use the high - low method to determine a cost function.

C. How do you think that a cost function may provide poor estimates of future costs?

Q3 a. Analyze the following Graph and the breakeven point and discuss how this analysis is used for decision making?

2. If fixed costs are $400,000, selling price per unit is $150, and variable cost per unit is $100, how many units must the company sell in order to earn a profit of $ 100,000?

Q 4 Which types of companies would most likely use a process costing system and which types of companies would use job costing? Provide examples of two Saudi Companies.

Explain the methods with which the cost per unit will be calculated for each type of company using a numerical example.

Dollars (in thousands) $65 $60 $55 $50 $45- $40 $35 $30 $25 $20 $15 $10 $5- Breakeven Point in Sales Dollars Total Cost Line Loss Area 100 200 Fixed Costs $20,000 300 400 Units of Output Total Revenue Line Profit Area Variable Costs $50/Unit 500 Breakeven Point in Units 600 700